Impact of Cultural Dimensions on Entrepreneurial Risk-Taking Behaviour in FCT-Abuja

Entrepreneurial risk-taking behaviour in culturally diverse environments has remained inconsistent, with limited empirical clarity on how specific cultural dimensions shape financial and strategic risk decisions among SMEs in FCT-Abuja. This study therefore examined the impact of cultural dimensions on entrepreneurial risk-taking behaviour in FCT-Abuja, focusing on Power Distance and Masculinity versus Femininity as predictors of Financial and Strategic Risk-Taking behaviour. A cross-sectional survey research design was adopted. The population comprised registered SMEs in Abuja. Using Krejcie and Morgan’sformula, a sample was derived, and a margin of safety was added to address non-response, resulting in 456 respondents selected through cluster sampling across the six Area Councils of the FCT. Primary data were collected using structured questionnaires, and reliability was confirmed through Cronbach’s alpha coefficients for all constructs. Data were analysed using regression analysis with the aid of SPSS version twenty-seven. The findings revealed that Power Distance had a significant positive effect on Financial Risk-Taking behaviour, while Masculinity versus Femininity significantly influenced Strategic Risk-Taking behaviour. The study concluded that entrepreneurial risk decisions in FCT-Abuja were culturally conditioned and not solely economically driven. It recommended culturally responsive entrepreneurial training and structured financial governance mechanisms to promote sustainable risk engagement among SMEs.